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Religion and the Rational Actor Religion and the Rational Actor
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Informal Institutions and Development Informal Institutions and Development
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Informal Institutions and Development Studies Informal Institutions and Development Studies
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Discovering the Local Logic: Methodological Concerns Discovering the Local Logic: Methodological Concerns
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9 Informal Institutions and Development
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Published:March 2012
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Abstract
This chapter summarizes the core arguments around the working of madrasas and Islam in Pakistan, and notes the relevance of these findings for deepening our understanding of informal institutions in general. It demonstrates their particular significance for students of both theory and practice of international development. Drawing on empirical evidence on the workings of Islam, as represented through the choices and decisions of actors within the madrasas of Pakistan, this book provides an understanding of the workings of informal institutions and thus demonstrates the strength of the New Institutional Economics (NIE) analytical framework in explaining a noneconomic institution. In the process, it shows the adjustments that need to be made to the core assumptions of the classical rational choice theory if this is to act as a unifying framework across the social sciences.
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